ISLAMABAD: The Federal Board of Revenue (FBR) has updated the Customs Act, 1969, Pakistan Customs Tariff for fiscal year 2026-27 and the Fifth Schedule to reflect the changes introduced through the Finance Act 2026.
The updated customs documents have now been made available on the FBR’s official website, providing importers, exporters, customs agents, businesses and other stakeholders with the applicable customs framework for the new fiscal year.
According to FBR, the Customs Act, 1969 has been updated up to June 30, 2026, incorporating amendments applicable from the new financial year. The Board has also published the Fifth Schedule to the Customs Act, 1969, updated as of June 30, 2026, along with the Pakistan Customs Tariff for FY 2026-27.
The Fifth Schedule is particularly important for importers because it contains concessionary customs duty rates and conditions applicable to specified goods and sectors.
The Finance Act 2026 introduced a number of changes to the Customs Act as part of the government’s broader tariff rationalisation and trade facilitation measures. The amendments include changes to the First Schedule and substitution of the Fifth Schedule.
One of the significant procedural changes is the introduction of faceless adjudication and virtual proceedings. The amendment empowers Customs to conduct adjudication proceedings through a more technology-based process, with the stated objective of improving transparency, efficiency and the disposal of cases.
The updated law also strengthens provisions concerning the handling of confiscable goods. Under the amendments, authorities are required to hand over goods liable to confiscation to Customs without waiting for the conclusion of proceedings in the relevant case.
The government has also continued its tariff rationalisation programme for FY2026-27. Budget measures included reductions in customs duty on various industrial inputs, with rates on selected tariff lines reduced from 20% to 15% or 10%, from 15% to 10%, and from 10% to 5%. Customs duty on certain products previously subject to a 5% rate was also proposed to be abolished.
Additional customs duty rates were also revised from July 1, 2026. The government reduced ADC rates from 6% to 4%, 4% to 2% and 2% to zero in specified cases, while retaining a 2% rate for certain goods where the customs duty rate is specific or falls within specified tariff categories.
The latest FBR publication brings the main customs reference documents for the current fiscal year together, including the updated Customs Act, the Fifth Schedule and the Pakistan Customs Tariff.
Importers and customs professionals are therefore advised to consult the FY2026-27 tariff and updated Fifth Schedule when determining the applicable customs duty, concessions and conditions for imported goods.
FBR’s Customs Tariff section currently lists the Fifth Schedule updated for 2026-27 and the Pakistan Customs Tariff for FY2026-27 as the prevailing references for customs tariff purposes.
